By Ramji Subramaniam, MD, Sowparnika Projects and Infrastructure Pvt. Ltd
With the advancements in technology, the realty sector has undergone remarkable changes and many new business models, new agents and innovative technologies to engage potential clients have come to the fore. The industry is transforming rapidly with the confluence of a number of technological factors.
The real estate sector is ever-growing, giving the homebuyers a sense of security. There are a number of factors affecting the sector, including interest rates, demographics and government policies. Likewise, technology is a significant factor that’s disrupting the realty sector. With technology making its presence felt in the realty market, homebuyers benefit in a number of ways. For instance, with smartphones becoming ubiquitous, prospective home buyers do not have to physically visit the properties to study them, spending time and energy on such visits. They can have visual experiences of properties as well as compare them as per their needs and budget.
A number of real estates developers are taking their projects to the next level, through the adoption of technology, to gain a visual experience of the properties. With many great features, one can look for their desired property and get a real feel without any hassles. Such virtual experiences are often appreciated by homebuyers as it gets the job done sitting right at home or office.
How is tech transforming the realty sector?
The technology wave has been sweeping across the realty sector for many years now and here are a few trends sure to mark its existence in the industry:
1. Use of digital tools
Exploring different properties has become a lot easier with many of the digital tools. The option of ‘try before you buy’ is a trend catching on even in the real estate market, helping the new-age homebuyers who prefer using their smartphones before anything else. From the conception to design and construction, distribution, technology has so much more to offer to the sector. Digitalisation has enabled the real estate investors to accelerate their businesses through online marketing. With the help of these digital real estate marketing tools, investors can not only improve their communication with prospective customers and generate leads but can also enhance their brand visibility. This helps in improving brand awareness and overall sales.
2. Impactful innovative operations model
Advanced modelling systems are paving the way for the real estate sector to flourish. Homebuyers get a realistic experience of the property through online services wherein they would be able to walk through the property without being physically present there. With the increase in the use of technology, better engineering and innovative modelling systems will come up that would have a positive impact on the realty sector.
As an American entrepreneur, investor and software engineer, Marc Andreessen, said, “software is eating the world’’, technological innovations have made its presence felt in the real estate sector which would transform the industry in a couple of years. Technological innovations like ‘Zirx’ which can reimage the parking space and ‘Common’ which can reimage the apartments with co-living environments.
3. Changes from Predictive Analytics
With technology coming into the forefront, predictive analytics is taking over the real estate sector majorly. Predictive analytics helps prospective homebuyers find homes with all the desirable qualities. It is also beneficial to brokers in assessing the different aspects of their business including recruitment and expansion. With predictive analytics, real estate agents will gather the ability to advise their teams on what to do to attain the highest ROI on their deal.
Predictive analytics will help investors target their customers with the right properties that they are looking for. This will be similar to the e-commerce sites who have already started off with their personalized ‘wish-lists’ of products which people are interested in purchasing online.
The three trends are bound to revolutionise the real estate market. Shifting to mobile technology, engaging customers through data and optimised internal processes are some of the ways in which technology has transformed the realty sector. With more emerging tech trends, real estate developers can automate much of their tedious work, which can further act as a game-changer for the industry.
Technology is changing real estate in ways unimaginable just a few years ago. It has not only made the life of the home buyer easier but is giving a shot in the arm the sector in many ways.